Shinhan Financial Group (SHG) Competitors

Shinhan Financial Group (NYSE:SHG) and Bank of Montreal (NYSE:BMO) are both large-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their media sentiment, community ranking, risk, profitability, dividends, analyst recommendations, earnings, institutional ownership and valuation.

Is SHG or BMO a better dividend stock?

Shinhan Financial Group pays an annual dividend of $1.29 per share and has a dividend yield of 3.0%. Bank of Montreal pays an annual dividend of $4.74 per share and has a dividend yield of 4.4%. Shinhan Financial Group pays out 16.8% of its earnings in the form of a dividend. Bank of Montreal pays out 61.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Bank of Montreal has increased its dividend for 4 consecutive years. Bank of Montreal is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has more volatility & risk, SHG or BMO?

Shinhan Financial Group has a beta of 0.9, indicating that its stock price is 10% less volatile than the S&P 500. Comparatively, Bank of Montreal has a beta of 1.08, indicating that its stock price is 8% more volatile than the S&P 500.

Is SHG or BMO more profitable?

Shinhan Financial Group has a net margin of 12.21% compared to Bank of Montreal's net margin of 9.22%. Bank of Montreal's return on equity of 10.18% beat Shinhan Financial Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Shinhan Financial Group	12.21%	7.34%	0.59%
Bank of Montreal	9.22%	10.18%	0.54%

Does the media prefer SHG or BMO?

In the previous week, Bank of Montreal had 11 more articles in the media than Shinhan Financial Group. MarketBeat recorded 13 mentions for Bank of Montreal and 2 mentions for Shinhan Financial Group. Shinhan Financial Group's average media sentiment score of 1.37 beat Bank of Montreal's score of 0.48 indicating that Shinhan Financial Group is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Shinhan Financial Group	2 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Bank of Montreal	5 Very Positive mention(s)	0 Positive mention(s)	5 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Neutral

Does the MarketBeat Community believe in SHG or BMO?

Bank of Montreal received 282 more outperform votes than Shinhan Financial Group when rated by MarketBeat users. However, 63.59% of users gave Shinhan Financial Group an outperform vote while only 56.28% of users gave Bank of Montreal an outperform vote.

Company	Underperform	Outperform
Shinhan Financial Group	Outperform Votes 269 63.59%	Underperform Votes 154 36.41%
Bank of Montreal	Outperform Votes 551 56.28%	Underperform Votes 428 43.72%

Which has stronger earnings and valuation, SHG or BMO?

Bank of Montreal has lower revenue, but higher earnings than Shinhan Financial Group. Shinhan Financial Group is trading at a lower price-to-earnings ratio than Bank of Montreal, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shinhan Financial Group	$17.65T	0.00	$3.49B	$7.68	5.65
Bank of Montreal	$34.37B	2.27	$5.38B	$7.71	14.01

Do analysts recommend SHG or BMO?

Bank of Montreal has a consensus target price of $129.50, suggesting a potential upside of 19.85%. Given Bank of Montreal's stronger consensus rating and higher probable upside, analysts clearly believe Bank of Montreal is more favorable than Shinhan Financial Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shinhan Financial Group	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Bank of Montreal	0 Sell rating(s)	8 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.11

Do institutionals & insiders have more ownership in SHG or BMO?

7.8% of Shinhan Financial Group shares are held by institutional investors. Comparatively, 45.8% of Bank of Montreal shares are held by institutional investors. 1.0% of Shinhan Financial Group shares are held by insiders. Comparatively, 1.0% of Bank of Montreal shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Bank of Montreal beats Shinhan Financial Group on 14 of the 20 factors compared between the two stocks.